The Hidden Financial Time Bomb

Is household debt a hidden time bomb in the UK? Are we once again walking a financial tightrope? People are not feeling financial pressures as a result of frivolous spending sprees, instead, many are borrowing extra money just to keep their heads above water in their everyday living. Please don’t jump to the conclusion that we are focusing on lower income families.

Is household debt a hidden time bomb in the UK? Are we once again walking a financial tightrope? People are not feeling financial pressures as a result of frivolous spending sprees, instead, many are borrowing extra money just to keep their heads above water in their everyday living. Please don’t jump to the conclusion that we are focusing on lower income families.

The Centre for Social Justice (CSJ) revealed that the UK now stands at £170 billion in unsecured debt on credit cards, overdrafts and payday loans, the highest level in four years. The CSJ estimated that 15 million Britons are borrowing in order to cover their bills, with the number of people up to their neck in bills now standing at 8.8 million. The demographic spectrum of this outstanding balance is spread across all sections of society.

*Our research has shown that the number one source of stress in UK homes is personal debt and 1 in 4 people struggle with it in silence. We know how even a small increase in the base rate would impact some households negatively and normal day to day living would become more difficult to finance. Those of us who appear financially self-sufficient, who contribute so much to the success of the economy, in fact have less money in savings that we ever envisaged at particular stages of life, and in fact, probably live on the “financial precipice”; where each month too high a proportion of our income is taken up by making repayments.

At QuidCycle, our mission was to build an ethical financial services company, built to help people make more knowledgeable decisions about their financial well being and address the inefficiencies in the financial industry in relation to this group of people. We have three core objectives:

1. to provide more competitive rates to borrowers and investors alike compared to the UK institutional banks

2. to develop a suite of tools and services to educate people about how they can reduce and inevitably exit their own personal ‘debt-cycle’, ensuring that financial difficulty is not a taboo subject and that it can be a simple process to move seamlessly from a ‘borrower’ to an ‘investor’ on the QuidCycle platform.

3. to have a measurable social impact in building a community of investors who by investing through QuidCycle, are having a measurable and accountable impact on helping people move towards a position of financial success whilst they also receive higher returns versus the banks.

Our unique approach has set us apart from our peers and some have described QuidCycle as “dealing with the core problem around irresponsible credit”. Our commitment is to work with every borrower until they start putting aside money and become investors.

To start getting ahead with your finances and achieve financial success, check out our website on www.quidcycle.com. Your capital is at risk when investing with peer-to-peer lending.

*Based on QuidCycle research, conducted by Atomik Research among a weighted UK representative of 2,000 adults in August 2014?